Receive the money tax-free. This is taxable income, so it doesn’t affect Old Age Security (OAS) or Guaranteed Income Supplement (GIS) government benefits you may receive.
Use the money any way you wish. Maybe you want to enjoy your retirement or cover unexpected expenses. Perhaps you want to update your home or help your family without depleting your current savings. The only condition is that any outstanding loans (e.g. existing mortgage or home equity line of credit) must be paid out by the homeowner with the proceeds from your CHIP Reverse Mortgage.
No regular mortgage payments are required while you or your spouse live in your home. The full amount only becomes due when you and your spouse no longer live in the home
Maintain ownership and control of your home. You will never be asked to move or sell to repay your CHIP Reverse Mortgage. You are required to maintain your property and stay up-to-date with property taxes, fire insurance and condominium or maintenance fees while you live there.
Keep all the equity remaining in your home. In many years of experience, 99 out of 100 homeowners have money left over when the homeowner repays their CHIP Reverse Mortgage. And on average, the amount left over is 50% of the home’s value when sold.